Welcome to another edition of the Freelance Review! As usual, Freelance Life Magazine brings you exciting stories and reviews of trending topics in the freelance industry. These are analyses, commentary from top websites in the field, as well as coverage of the latest trends, tools, and resources for remote workers within the freelance ecosystem.
Although it’s a brand-new year, a lot is happening already. You will not want to miss these great events recorded in the first and second weeks of January.
Freelancer Payments Methods: What You Should Know
Source: Globalbankingandfinance
It’s no news that freelancers get excited about payment because this is a sign of success and a reward for all of their hard work. Receiving payment for your services is a great feeling that motivates you to continue to do what you love. Payments give freelancers the security of knowing that their work has been appreciated and valued and that their time and effort have been acknowledged.
In this interesting topic, Global Banking and Finance shares the most popular payment methods used by freelancers and what to consider when selecting the right payment method for your business.
Payment Methods for Freelancers
The article goes on to discuss some of the most popular payment options, such as bank transfers, e-checks, and online payment platforms like PayPal and Venmo. It also mentions how several companies are increasingly using specialized websites and platforms, like Upwork and Fiverr, to manage their payments to freelancers.
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My takeaway from this is that choosing the right payment method is important for both the business and the freelancer, as it affects the ease and speed of transactions as well as security and compliance.
Paying Freelancers: Approaches and Best Practices
This is for businesses looking to establish a smooth and efficient process for paying their freelancers. Let me suggest that you consider factors such as the freelancer’s location, their preferred payment method, and any applicable legal requirements.
Also, the importance of clear communication and documentation cannot be overemphasized, including setting up a written contract and specifying payment terms, invoicing procedures, setting deadlines, and dispute resolution processes.
Overall, the article presents a well-rounded and informative look at freelancer payments, providing readers with a good understanding of the various payment methods available and best practices for paying freelancers.
More Americans Are Turning to Freelance Work Amid the Struggle to Find Workers
Source: Gobankingrates
This article by Gobankingrates is a very exciting one, as it discusses the growth in the popularity of freelancing in the United States in 2022. According to a survey by Upwork, 60 million workers in the U.S. performed some freelance work in 2022, accounting for 39% of the workforce, which is a 3% increase compared to the percentage of those who freelanced in 2021.
The study also found that freelancers reported being more satisfied in areas such as work-life balance, control of work conditions, and freedom to do work that suits them, compared to their non-freelance counterparts. Additionally, 74% of freelancers indicated that freelance work has given them greater control over their lives overall, and 69% claimed they had a healthy work-life balance. Who doesn’t want that?
More Than Just a Trend
Experts suggest that freelancing is more than just a trend, and it will continue to grow in popularity in the future. Upwork’s vice president of talent solutions, Margaret Lilani, noted that “we are watching this major shift happen in the workforce where highly skilled professionals are finally questioning aspects of the old, traditional ways of work.” Lilani added that it’s as if people are looking at freelancers, who have more flexibility and control, and asking, ‘why can’t their work be like that too?”.
Furthermore, the survey found that 73% of freelancers polled said that their work is being recognized in a more positive light (up from 68% in 2021), and younger generations are exploring freelance opportunities more than their older counterparts.
It’s safe to say that as more people become aware of the benefits of freelancing and as technology makes it easier to work independently, it’s likely that more people will continue to turn to freelance opportunities. Welcome to the future!
How To Get Back into The Swing of Freelancing After The Festive Break
Source: CreativeBoom
This particular article by Creative boom is personal to me because it speaks to me one way or the other as I was also finding it difficult to leave the comfort of my couch and the Christmas leftovers. This interesting read offers a variety of strategies for freelancers to cope with the return to work after the Christmas break.
The writer starts by mentioning how many people struggle to get back into their freelance routine after the holiday season and how certain strategies can help. The article then proceeds to share some of the best tips and advice from the Creative Boom community on Twitter.
Strategies For Starting Fresh
The first strategy discussed is setting yourself a new challenge. The idea is that by starting over with a different medium or learning something new, the pressure of getting back into the usual work routine will be relieved, potentially leading to inspiration. The second strategy is to ease yourself back into work more gently. This can be done by taking the first week of January off or by starting the year with personal or self-promotional work instead of diving into client work.
The third strategy is to blow away the cobwebs by getting outside and getting active. This can be done by going for a walk with work colleagues or joining local groups in the community. Another good idea is to work from a co-working space for at least two weeks to establish a routine and get into a working mindset. Overall, these are all helpful and practical strategies for freelancers who struggle to get back into their work routine after the Christmas break.
Finally, this is a great resource if you are looking for ways to start the new year with a swing and gain momentum and productivity.
The Lie About Side-Hustle Culture and Freelancing
Source: SOUK
I’m sure you’ve seen those long Twitter threads or strange YouTube channels about the hottest side hustles you should be doing and how they’ll help you retire early. Well, here’s SOUK’s attempt at pulling the curtains back on the falsehood about side-hustle culture and freelancing. What’s true, and what’s hype?
The Impact Of New Technologies And Software On The Rise Of The Side-Hustle Industry
The freelance marketplace is projected to generate a significant amount of economic wealth in the future. This can be attributed to the rise of the side-hustle industry due to new technologies and software that make it easier for people to create and sell products, connect buyers with sellers, and monetize their talents through digital platforms.
In fact, according to Henley Business School, one in four people in the UK and 44% of Americans have some sort of money-generating engagement on top of their typical job.
The Failure of The Social Contract And Its Impact On The Rise Of The Side-Hustle Culture
This article also notes that the real motivation behind the rise of the side-hustle culture is the failure of the social contract, which offered a stable wage in exchange for 40 hours of labour per week. Many workers are left with little in return for their work and are turning to side hustles as a way to supplement their income and gain a sense of control and agency.
My takeaway from this is that the side hustle culture will continue to thrive for as long as the traditional employment model fails to provide adequate income and security.
For Freelancers, New Federal Help in Saving for Retirement
Source: NYTimes
Remote workers face a lot of challenges when it comes to saving for retirement. This New York Times article explains how the Secure 2.0 Act, a new retirement law signed by US President, Biden in December 2020, can help gig economy workers.
According to research from the Pew Charitable Trusts, gig economy workers often lack access to workplace retirement plans available to full-time employees.
Challenges Faced by Remote Workers In Saving For Retirement
Fluctuating income, short-term expenses, and emergencies are common problems faced by freelancers which usually make it difficult for them to save for their long-term retirement needs.
How The Secure 2.0 Act Can Help Gig Economy Workers Save For Retirement Through the Introduction Of The Saver’s Match Program
The Secure 2.0 Act introduced a “saver’s match,” which is a new incentive to help low-and moderate-income workers build a nest egg by providing a direct government contribution to their retirement account.
Under the new program, the federal government will deposit a 50% match on up to $2,000 of a worker’s contribution to a workplace or individual retirement account, with a maximum of $1,000 per person. Eligibility for the program is based on income.
Overall, I see the saver’s match as a more effective way of getting people to save, but the program will not become available for another four years while the details are ironed out. Meanwhile, if you are a gig worker, you can contribute to an I.R.A. on your own by setting up automatic transfers from your bank account to it to help you save.
Additionally, some changes to the Secure 2.0 Act that can help non-traditional workers begin this year include states increasingly offering I.R.A. programs for traditional workers who are ineligible for retirement plans through their jobs.
